Bitcoin flexes its muscles again with strong upward momentum while altcoins join it in the parade to the moon.
Over the past two days, the price of Bitcoin has been trading in the range of $14,800 to $15,500, but it is difficult for top digital assets to flip the support level of $15,500.
It is good news that BTC continues to create higher lows. At the time of writing, the price tried to break out of this range, but still encountered resistance at $15,500.
When the BTC price rebounded back and forth, altcoins and selected DeFi tokens profited during the integration phase and turned bullish.
With the increase in DEX trading volume, the number of daily active users has also increased. Today, a new record is set in this field. DeFi Pulse pointed out that the total value locked on the DEX platform has surged to $12.87 billion.
Historically, when Bitcoin prices are trading sideways, altcoins tend to rise, and the strong fundamentals of Ethereum may indicate that DeFi and altcoins may be on the verge of trend changes.
“If this level holds, we should see $815 in the next few months. Invalidation on chart.”
Miguel Vias, head of XRP markets at Ripple, offered a different take,
“I think that markets view XRP as a very stable digital asset, so they feel safe parking funds in XRP when they exit other assets. If someone wants to get out of BTC, but doesn’t want to necessarily move into fiat, he or she moves the value into XRP,”
For the short term, traders will observe whether BTC can turn the $15,500 to $16,000 level to support, which may pull up some bullish altcoins. Or, if BTC prices remain sideways in the next few days, the top DeFi tokens and a small number of altcoins may continue to rise.
Photo by Harrison Kugler on Unsplash